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Nov, 21, 2008
Rabbi A. Henach Leibowitz: Money matters?
Caroline B. Glick:
Civilization walks the plank
Nov, 20, 2008
Rabbi Avi Shafran: Bronfman's blindness
The Kosher Gourmet
By Linda Gassenheimer: Portobellos add a hearty flavor to pasta with pesto
Nov, 19, 2008
The Jewish Ethicist
by Rabbi Dr. Asher Meir : Spread the wealth? Jewish tradition and income equality
Elliot B. Gertel:
'Mad Men': Tackling prejudices or reinforcing them?
Nov, 18, 2008
Dr. Debby Schwarz Hirschhorn: The End of the Age of Reason
Jonathan Tobin: Does Barack + Bibi = Disaster?
Nov, 17, 2008
Rabbi Yonason Goldson: The End of the Age of Reason
Diana West: Gulling Americans into making terror legit?
Nov, 14, 2008
Rabbi A. Henach Leibowitz: The Power of Spiritual Inertia
Caroline B. Glick: The perils ahead
Nov, 13, 2008
Stratfor Intelligence Briefing: How Bush and Obama together could change the Middle East dynamic
The Kosher Gourmet
by JeanMarie Brownson: Sweet and savory, crispy and meltingly tender bestilla
Nov, 12, 2008
The Jewish Ethicist
by Rabbi Dr. Asher Meir : Tyrannical Co-Workers
Michael Doyle: High Court to consider today donated monuments that may have religious messages in public parks
Nov, 11, 2008
Frank J. Gaffney, Jr.: Will Obama stop government officials considering institutionalizing financial jihad?
Jonathan Tobin: They Will Decide Their Own Fate
Nov, 10, 2008
Rabbi Avi Shafran: $8 billion, modern-day Tower of Babel being built?
Barry Rubin: A letter to the president-elect from a Middle East realist
Nov, 7, 2008
Rabbi Francis Nataf: Of Children and Immortality
Caroline B. Glick: Livni's Obama strategy
Nov, 6, 2008
Rabbi Yonason Goldson: How I tricked a classroom of apathetic students into grasping the fallacy of moral relativism
The Kosher Gourmet
By Gina Kim: Tips for making the perfect soup --- includes recipes
Nov, 5, 2008
The Jewish Ethicist
By Rabbi Dr. Asher Meir: Destitute Debtors
Bruce Weinstein: 'Religulos': Bad title,even worse movie
Nov, 4, 2008
Frank J. Gaffney, Jr.: Treasury Dept. submits to Shariah law
Frida Ghitis: A surprise for Obama in the Middle East
Nov, 3, 2008
Jonathan Rosenblum: Who says Jews are Smart?
Jonathan Tobin:
Was He Wrong About Everything?
Oct. 31, 2008
Rabbi A. Henach Leibowitz: Our Immutable Noble Essence
Caroline B. Glick: Running against Bush
Oct. 30, 2008
Jonathan Rosenblum: The End of the Special Relationship?
Steve Lipman: 'Kid Kosher' Gets A Title Shot
Oct. 29, 2008
Binyamin L. Jolkovsky: GET US THE TAPE THE L.A. TIMES REFUSES TO RELEASE, AND WE'LL GIVE YOU CASH!
Dr. Ari Korenblit: Making The Write Choice for President
Oct. 28, 2008
Mona Charen: Denial runs through American Jewry
Frank J. Gaffney, Jr.: Sell-off to capitalism or sell-out to Islam?
Oct. 27, 2008
The Jewish Ethicist
by Rabbi Dr. Asher Meir: Are tax deductions for charitable donations moral?
Jonathan Mark: The Mystery Of The Arab-American Vote
Oct. 24, 2008
'Why aren't all religious people vegetarians?': Response by Miriam Kosman
Caroline B. Glick: Testing Obama's mettle
Oct. 23, 2008
Daniel Pipes: Obama Would Fail Security Clearance
The Kosher Gourmet
by Linda Gassenheimer: A fast chicken dish with an Asian accent
Oct. 20, 2008
Gary Rosenblatt: Still One Torah
Jonathan Tobin:
Government 'Gifts' Are Not Free
Oct. 17, 2008
Jonathan Rosenblum: Sukkos and the Great Meltdown
Caroline B. Glick: The disappearance of law
Oct. 16, 2008
The Jewish Ethicist
by Rabbi Dr. Asher Meir: Copying DVDs: RIP OR RIPOFF?
Cal Thomas: Blaming the Jews (again)
March 22, 2007
J-Rhythms with Avraham Rosenblum: JWR's cutting-edge music program showcasing performers -- singers, song writers, musicians, and bands -- who learn and live the Torah lifestyle (OUR NEWEST IGODCAST !)
Oct. 29, 2003
Mortimer B. Zuckerman: Graffiti On History's Walls (MUST-READ!)
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Jewish World Review
August 27, 2008
/ 26 Menachem-Av 5768
The idiocy of energy independence, II
By
John Stossel
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http://www.JewishWorldReview.com |
"John Stossel sounds like a real defeatist. ... We have our backs to the wall, and he's raising the white flag."
"Stossel has lost his mind."
My column last week mocking "energy independence" angered people.
I argued that "independence," a favorite slogan of vote-hungry politicians, would require the government to interfere with the global division of labor, which, as economists have understood since Adam Smith's day, make us richer and therefore better able to deal with the future uncertainties. "It is the maxim of every prudent master of a family, never to attempt to make at home what it will cost him more to make than to buy. ... If a foreign country can supply us with a commodity cheaper than we ourselves can make it, better buy it of them," wrote Smith.
Of course, as many readers noted, the federal government, by doing things like prohibiting drilling in on- and off-shore areas that may have oil reserves, makes it more expensive or even impossible to produce energy in this country. Those policies should go, but that would still not bring self-sufficiency. Our demand for oil is too great.
And anyway, if the economics of oil production favor foreign over domestic producers, it still makes sense to buy the cheaper product. It wouldn't matter how much shale oil we have in the United States.
Readers correctly point out that because governments control much oil production, there is no global free market. But it does not follow that market forces don't work. There are many sources of oil in the world and many buyers. Supply and demand still set the price globally. It is foolish not to buy at the lowest price.
Many readers agreed with the one who said: "The short-term goal here is not complete energy independence. ... The goal is partial independence from those countries, many of whose citizens hate us and would do us harm."
"Partial independence" sounds like partial pregnancy. People don't have to like each other to benefit from trade. Those who sell us oil need the money so they can turn it into food, automobiles and other things. Refusing to sell because they don't like us would be self-destructive. Anyway, all the world's oil ends up in the same bathtub. If one foreign source stopped selling oil to the United States, it would sell to someone else, and that buyer would then have an incentive to sell to us.
Several readers argued that "Energy independence doesn't mean opposition to trade. If we ever become energy independent, we'll still have the option of buying energy on the world market."
Of course. But this misses the bigger point. To even attempt to achieve energy independence, the government will have to plan the energy sector. Considering how pervasive energy is throughout the economy, this is a recipe for full
central planning and a step toward poverty and tyranny.
"Why not keep all that $720 billion [we spend to import oil] in the United States of America?" was a sentiment expressed by many. But that reveals a poor understanding of world trade. When we trade dollars to foreigners for oil, they have to do something with those dollars. They don't stuff them in mattresses. (If they did, it would mean we got free oil.) They buy American products. (U.S. exports are soaring.) Or they invest in businesses here. Or they sell the dollars to someone else who buys American products or invests in the United States.
If we stop buying from abroad, foreigners will have fewer dollars with which to buy American products or to invest. That would hurt us.
Many readers think that energy independence would produce jobs for Americans. But the idea that money spent abroad means fewer jobs here is just plain wrong. If Americans don't produce energy, they will produce something else. The number of jobs is not fixed. There is always work to do.
If Americans can produce competitive forms of energy without government subsidies great! But if others can produce energy more cheaply, we'd be crazy not to buy it and use the savings to make other things to improve our lives.
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JUST OUT FROM STOSSEL
Myths, Lies and Downright Stupidity: Get Out the Shovel --- Why Everything You Know Is Wrong
Stossel mines his 20/20 segments for often engaging challenges to conventional wisdom, presenting a series of "myths" and then deploying an investigative journalism shovel to unearth "truth." This results in snappy debunkings of alarmism, witch-hunts, satanic ritual abuse prosecutions and marketing hokum like the irradiated-foods panic, homeopathic medicine and the notion that bottled water beats tap. Stossel's libertarian convictions make him particularly fond of exposes of government waste and regulatory fiascoes. Sales help fund JWR.
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JWR contributor John Stossel is co-anchor of ABC News' "20/20." To comment, please click here.
© 2008, by JFS Productions, Inc.
Distributed by Creators Syndicate, Inc.
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